Middle East Tensions Spur Oil Price Rise as Fed Holds Rates Steady
Tensions in the Middle East escalated after U.S. forces struck Iran following President Donald Trump's threats, causing oil prices to rise sharply. Brent crude climbed nearly 2% and West Texas Intermediate increased by over 1%. Meanwhile, the Federal Reserve maintained interest rates at a range of 3.5%-3.75%, with Fed chairman Kevin Warsh describing the decision as part of an internal 'family fight.' The split vote raised questions about future rate decisions. In Asia, Samsung Electronics reported record operating profits driven by strong AI server demand and robust memory chip sales. In contrast, Chinese AI supplier Zhongji Innolight saw its shares drop 2.3% on a lukewarm market reception to its IPO in Hong Kong despite raising $6.8 billion.
